Following rapid price falls, offshore wind companies must tackle growing merchant risks to ensure future projects remain competitive and supply facilities remain profitable, leading industry executives said.
Larger, higher efficiency turbines and the “clustering” of project resources are driving down offshore wind maintenance costs as they become increasingly important in project valuations, Tom Harries, Wind Energy Analyst at Bloomberg New Energy Finance (BNEF), said.
UK offshore battery projects set to be commissioned by Orsted and Statoil in early 2018 will generate valuable data on the revenue streams and right-sizing of energy storage installations, project directors told New Energy Update.
Grid operator ERCOT plans to roll-out intra-hour wind forecasting based on improved modelling while new research predicts a shift towards probabilistic forecasts could generate further gains, industry experts told New Energy Update.
Supply chain and services innovations are set to slash operational expenditure (opex) with the greatest impact expected in projects in deeper waters further offshore, industry experts told New Energy Update.
E.ON has used falling battery prices and supply chain learnings to lower the cost of its Texas Waves projects as market-driven applications spur storage sector growth, Mark Frigo, E.ON Vice President, Head of Energy Storage, North America, told New Energy Update.
MidAmerican Energy Company is combining analytics systems with new weather and grid forecasting tools to increase the value of its growing wind portfolio in the competitive power markets, project partners said during a New Energy Update webinar on September 27.
Growing wholesale market exposure and rising flexibility requirements have led some wind operators to develop profit-sharing operations and maintenance (O&M) arrangements which maximize market revenues.